Saab ABSAABF +0.60%83 ROE % is 13.05% as of Mar. 2026, which is 40% above its 10-year median of 9.32. GuruFocus rates SAABF with a GF Score™ of 83/100 and a GF Value™ of $39.73 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 347 Aerospace & Defense companies, Saab AB ranks better than 76.08% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Saab AB's annualized net income for the quarter that ended in Mar. 2026 was $617 Mil. Saab AB's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was $4,728 Mil. Therefore, Saab AB's annualized ROE % for the quarter that ended in Mar. 2026 was 13.05%.
The historical rank and industry rank for Saab AB's ROE % or its related term are showing as below:
SAABF'
s ROE % Range Over the Past 10 Years
Min: 5.11 Med: 9.32 Max: 16.02
Current: 15.68
During the past 13 years, Saab AB's highest ROE % was 16.02%. The lowest was 5.11%. And the median was 9.32%.
SAABF's ROE % is ranked better than 76.08% of 347
companies
in the Aerospace & Defense industry
Industry Median: 5.91
vs SAABF: 15.68
Saab AB (OTCPK:SAABF) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Saab AB ROE % Related Terms
Saab AB ROE % Historical Data
* Premium members only.
The historical data trend for Saab AB's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Saab AB's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Saab AB ROE % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Saab AB's ROE % distribution charts can be found below:
* The bar in red indicates where Saab AB's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Saab AB (SAABF) has a ROE % of 13.05% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Saab AB and its competitors. This is 40% above median its historical median of 9.32. Over the past decade, Saab AB's ROE % has ranged from 5.11 to 16.02. According to the industry distribution chart, Saab AB ranks #83 out of 347 companies in the Aerospace & Defense industry, placing it in the top 23.9%.
Is Saab AB's ROE % too high?
Saab AB's current ROE % of 13.05% is 40% above median its 10-year median of 9.32. Over the past 10 years, this metric has ranged from a low of 5.11 to a high of 16.02. The Aerospace & Defense industry median ROE % is 5.91. Saab AB's value of 13.05% is 120.8% above this industry median. Based on the distribution chart, Saab AB ranks #83 out of 347 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Saab AB has a GF Score™ of 83/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Saab AB's ROE % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Saab AB ranks #83 out of 347 companies for ROE %. This places Saab AB in the top 24% of its industry — outperforming the majority of peers. The industry median ROE % is 5.91. Saab AB's value of 13.05% is 120.8% above this benchmark. Historically, Saab AB's own ROE % has ranged from 5.11 to 16.02 over the past decade. While the company's 10-year median is 9.32 vs. the industry median of 5.91, Saab AB has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Aerospace & Defense company?
The median ROE % among Aerospace & Defense companies is 5.91, based on 347 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Saab AB's current ROE % of 13.05% is 120.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Saab AB and its competitors. For the Aerospace & Defense industry, the median ROE % is 5.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saab AB's current ROE % is 13.05%, which is 40% above median its own 10-year median of 9.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saab AB stock overvalued right now?
Based on GuruFocus' analysis, Saab AB (SAABF) is currently considered Modestly Overvalued. The stock's GF Value™ is $39.73, compared to a current price of $50.50 — trading 27.1% above its estimated fair value. The current ROE % is 13.05%, which is 40% above median its 10-year median of 9.32 and 120.8% above the Aerospace & Defense industry median of 5.91. Saab AB's overall GF Score™ is 83/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Saab AB (SAABF), the current ROE % is 13.05% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Saab AB (SAABF) Overvalued in 2026?
Based on GuruFocus' analysis, Saab AB stock appears to be overvalued.
The current stock price of $50.50 is trading 27.1% above its estimated GF Value™ of $39.73.
GuruFocus considers Saab AB to be Modestly Overvalued.
Key valuation signals for SAABF:
ROE %: 13.05% (40% above median its 10-year median of 9.32)
GF Value™: $39.73 vs. price of $50.50 (27.1% above fair value)
Industry Position: 120.8% above the Aerospace & Defense median (#83 of 347)
No single metric tells the full story. See the SAABF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Saab supplies products and services for military, defense, and civil security. The company operates in four segments: aeronautics, dynamics, surveillance, and Kockums. Aeronautics involves the manufacturing and support of defense and commercial aerial systems. Dynamics produces combat weapons and defense training and management systems. Surveillance supplies security services, and creates traffic management technology and aviation parts. Kockums offers solutions for naval missions. Over three fourths of Saab's sales are from the defense sector. The company sells to multiple geographic regions, but over half of its sales come from Europe.
83GF Score
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